Gyroscope’s Dynamic E-CLP liquidity pool for the AVAX/USDC trading pair on Avalanche has yielded a 97% annualized return, leveraging an innovative wider liquidity distribution model to simultaneously boost yields and curb impermanent loss.
The 30-basis-point fee pool substantially outperforms traditional low-fee competitors on Avalanche, including the LFJ (62%) and Pharaoh (59%) pools. This performance advantage stems from Gyroscope’s strategy of distributing liquidity across broader price ranges, enabling enhanced fee capture while mitigating exposure to price volatility-induced losses.
To accelerate adoption and deepen liquidity, Gyroscope launched new incentives targeting liquidity providers for AVAX/USDC and GYD trading pairs. These rewards aim to stimulate participation and expand the protocol’s liquidity depth within Avalanche’s DeFi ecosystem.
By minimizing impermanent loss through its dynamic liquidity approach, Gyroscope provides a more stable return profile alongside high yields. The pool’s design presents a competitive solution for Avalanche liquidity providers seeking optimized risk-adjusted returns in volatile market conditions.